Question I
Section 11 of the Contracts Act 1950 provides that 'every person is competent to contract who is of the age of majority to the law to which he is subject, and who is of sound mind, and is not disqualified by any law to which he is subjected'. The Age of Majority Act 1974 further explains that age of majority in Malaysia is 18 years old. Therefore, person under the age of 18 is not allowed to enter a contract. Discuss FOUR exceptions to the general rule that underage person is prohibited from entering a contract.
Question II
On 28th July 2021, Saiful offered to sell his car to Hani for RM30,000 and he prescribed in the offer should Hani accept the offer she must reply with a letter in a week. The next day, Hani texted Saiful using WhatsApp to inform him that she accepted the offer. After a week, Hani met Saiful to collect the car, but Saiful told her the car was sold to another person. Hani got furious and argued that she had replied to the offer within the stipulated time. Advise Hani.
Question III
On 25 March 2018, Afiq appointed Kadir to act as his agent to buy a car not exceeding RM 50,000. Kadir ordered a car costing RM 60,000, telling the salesman that he was buying the car on Afiq's behalf. Subsequently, on 5 April 2018, the salesman delivered the car to Afiq. Advise Afiq on the option available to him and the conditions to be fulfilled with regards to ratification of contract.
Question IV
Anita's husband, Ariq, borrowed from her RM 35,000.00 as a loan to the firm's account which he is a partner. Money was paid into the partnership account and immediately utilized to pay debts. However, Ariq failed to pay back the loan owed leading Anita to initiate a legal action against the whole partnership. In response, to avoid liability over the debt, Ariq's partners, Afif and Ahnaf claimed that Ariq was not authorized by the firm to borrow money. Discuss whether the partners have the liability to pay back for the loan.
Question V
Amin purchased a television set on hire purchase from Wah Siah Electronics. According to the hire purchase agreement, Amin is supposed to pay 36 instalments. After paying the 35th instalment, Amin refused to pay the last instalment. Wah Siah Electronics is going to repossess the television set from Amin but they are not sure about the repossession process. Advise Wah Siah Electronics.
Question VI
Explain the classification of goods as provided under Sale of Goods Act 1957 and further discuss the right of an unpaid seller.